Microsoft Dynamics 365 Business Central Price Increase Coming October 2025

Here's what you can do about it.

Effective October 1, 2025, Microsoft is increasing prices on Dynamics 365 Business Central licenses for the first time in over five years.

This update reflects a growing platform—with powerful AI tools, deeper analytics, and more robust manufacturing and finance capabilities than ever before. But for many small and midsized businesses who rely on Business Central for day-to-day operations, this news may feel more like a budget concern than a technology breakthrough.

Here’s what’s changing, what it means for you, and how to approach your licensing strategy with clarity and confidence.

What is the new pricing for Business Central in 2025?

Starting October 1, 2025, Microsoft is increasing Business Central license costs and boosting storage per user:

License Type	Current Price	New Price (Oct 1)	Storage Increase
Essentials	$70/user/month	$80/user/month	2 GB → 3 GB
Premium	$100/user/month	$110/user/month	3 GB → 5 GB
Device (shared workstations)	$40/device/month	$45/device/month	1 GB → 1.5 GB
Team Member	$8/user/month (unchanged)	No change	No change

The price update applies to new subscriptions and renewals on or after October 1, 2025. But here’s the good news: Microsoft is offering customers a way to lock in current pricing before then.

Can I lock in current Business Central pricing before the increase?

Yes! Microsoft is allowing businesses to renew or add licenses before October 1, 2025, and keep current pricing through the full term of their agreement—typically 12, 24 or 36 months.

That means:

• You can add users now and pay the current price through next year.

• You can renew early, even if your term isn’t up yet, to delay the impact of the price increase.

• You can forecast growth and purchase what you need in advance at today’s rates.

For businesses with 10, 20, or more users, the savings could be significant. And for companies planning to scale operations, this may be the right time to take a closer look at your licensing roadmap.

Still Competitive in the Market

While a Business Central price increase would never be good news, it’s worth noting that Microsoft’s pricing remains well below many ERP competitors. We’re seeing license hikes across the board—from NetSuite to Acumatica and others—with some ERP providers increasing prices 30 - 50% or more, especially when AI features or advanced reporting are bundled in.

Even after the October adjustment, Business Central continues to offer exceptional value—particularly for manufacturers and distributors who want depth without the enterprise-sized price tag.

What We Recommend

Now is a smart time to do a quick pulse check on your licensing:

1. Review your current user mix– Are all of your full licenses in use? Are Team Member licenses being used effectively?

   
   

2. Look ahead– Are you planning to grow your team or expand ERP usage in the next year? It may make sense to add licenses now at the lower rate.

   
   

3. Ask questions– We're happy to walk you through your current setup and help you determine the best path forward. No hard sell—just good strategy.

Where We Can Help

If you’re unsure what this change means for your team, you're not alone.

At Elliott Clark Consulting, we work with manufacturers and distributors every day to ensure they’re using the right licenses for the right people—without overpaying or underutilizing features.

We offer:

• Business Central license optimization reviews

• Forecasting and budgeting support

• A second opinion before you renew

Whether you’re looking to renew early, add users, or just want a gut check on your setup, we’re here to help.

Schedule a license strategy conversation →Or just shoot us a message—we’ll help you make a smart, informed decision.

TL;DR: What You Need to Know

• What’s happening: Microsoft is increasing Business Central prices on Essentials, Premium, and Device licenses starting October 1, 2025

• Storage is also increasing, making it easier to handle growing data volumes

• Team Member pricing stays the same

• You can add or renew before October 1 to lock in today’s lower pricing

• Microsoft’s pricing remains competitive compared to other ERP providers raising rates more aggressively

• Now is a great time to review your licensing strategy and avoid overpaying later

Don’t Let This Catch You Off Guard

At Elliott Clark Consulting, we help manufacturers and distributors avoid ERP bloat—paying for licenses they don’t use, while missing out on the ones that could actually save them time and money.

Let’s make sure this price increase doesn’t turn into a cost sink for your business.

Book your ERP License Strategy Call or send us a message today. You’ve got time—but not much.